LONDON—Shares in oil giant BP PLC jumped as much as 9.8% in London a
day after the company struck a deal with the Obama administration to
set aside $20 billion to cover costs of the oil spill in the Gulf of
Mexico.

Heading into the European close, BP shares recently
were up 7.1%, or 23.95 pence, at 360.95 pence, leading the FTSE 100
index. The company's shares have plunged since the April 20 explosion
aboard the Deepwater Horizon drilling rig that killed 11 workers and
lead to the spill.